Jane Edwards
Vice Adm. Raquel Bono, director of the Defense Health Agency, has said the Tricare services contracts DHA awarded to Humana and Health Net will have a transition period of nine months to one year, Military Times reported Wednesday.
Humana’s government business and Health Net’s federal services business won separate contracts from DHA to provide health services to Tricare program beneficiaries in the East and West regions, respectively.
Each contract has a base term of nine months and up to five option years with Humana’s ceiling value at $40.5 billion and Health Net’s at an upper limit of $17.7 billion.
Bono told reporters Friday the Defense Department will test the two companies’ systems prior to deployment in order to ensure that their platforms function properly, Patricia Kime wrote for Military Times.
DoD officials told Military Times that DHA received offers from four companies to manage the two regions under the Tricare program and that it will hold a debriefing process with the bidders to discuss the contract awards.
DoD’s Tricare program provides health plans, prescriptions and other medical services to approximately 9.4 million service personnel and their families worldwide and is managed through separate regions that include the North, West, South and East regions in the U.S. as well as overseas.
